Uber and Lyft drivers in New York City (NYC) have announced a one-day strike on Monday following a controversial court ruling halting a rule that would have raised their income from coming into immediate effect.
The Herald can report that a Manhattan judge on Wednesday, December 14, granted Uber’s bid to temporarily block a pay hike for ride-share drivers from going into effect this week.
In a suit filed on December 9, the company sued New York City’s Taxi and Limousine Commission (TLC) in a bid to halt the implementation of a new rule that would raise driver pay from 2019 rates, by 7.42% per minute and 23.93% per mile.
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According to Uber, the rule set to take effect today, December 19, would compel the company to pay an additional $21 million to $23 million per month and raise rider fares by 10% amid the holiday season.
Ruling on the suit on Wednesday, December 14, Manhattan Supreme Court Justice Arthur Engoron blocked the rule from coming into effect until after January 31, when arguments in the main suit would have been heard.
In a statement, TLC Commissioner David Do decried the ruling, saying it was against the drivers’ interest.
“We are disappointed for the tens of thousands of drivers who are once again being made to bear the rising costs of inflation all on their own, with no help from the multibillion-dollar company they work under.
“We will aggressively defend this important standard for our drivers,” Do said.
In a reaction, Uber spokesperson, Freddi Goldstein said: “Drivers do critical work and deserve to be paid fairly, but rates should be calculated in a way that is transparent, consistent and predictable.”
It was learnt that striking drivers planned to register their displeasure by converging at the Brooklyn Bridge on Monday morning before circling the Thurgood Marshall United States Courthouse in Foley Square shortly after.
However, not all the drivers are joining the strike.